Dubai Real Estate Blog

Real Estate Market in Dubai

Iraq’s Recovering Real-Estate Market Gives Boost To The Whole Gulf

Baghdad
Sunrise in Baghdad

Dubai is an extremely wealthy – and healthy! – business location; nobody can seriously deny this. So when financial advisers talk about the risks that are related to the beautiful Emirate, they do not so much talk about Dubai itself – but rather about its surroundings. It has been said that it finds itself “in a bad neighbourhood- and the implication of this is that this poses a permanent danger to its stability.

Well, it is hard to judge just how much truth – and sense – there is in such considerations. In any case, Dubai’s “neighbourhood”, i.e. the surrounding countries, are showing some very encouraging signs, and in this at the present most notably the tragic country of Iraq.

In Iraq there seems to be economic recovery in virtually all fields – especially in its real-estate sector. Experts now like to speak of Iraq as “an emerging real estate investment market”. And no matter how you look at this, this is good news for the whole region.

In the city of Erbil, the 750 thousand square meter New Azadi project is currently being built. Here are some facts about it: It will have 1,565 residential units, including 810 two-bedroom houses! Then there will be four schools, a high-end supermarket, parks and recreational facilities! Sounds just like we’re talking about Dubai, right? No, all over Iraq there are projects just like this seemingly coming out of nowhere.

Will Dubai eventually have to fear Iraq as a competitor for international business? Well, yes and no. But here it’s important to remember some of the fundamental truths of how business works. A peaceful and prosperous Iraq WILL be a natural competitor for Dubai, but most of all, it will be a trade PARTNER – because business creates business. Just like in Europe, where the fact that there are so many countries, is positive for all of them as a whole and for each one of them as an individual.

And obviously, Dubai got a head start. It is the place where all the infrastructure is. Baghdad may be prospering – but there is no way is is ever going to replace Dubai as the regional business hub. At least not in this century.